- Nexo announced a $100M buyback program for its native token.
- The program authorizes the company to repurchase NEXO on the open market periodically.
- Repurchased NEXO tokens will be used to invest in strategic targets.
The leading cryptocurrency lender, Nexo, announced that its Board of Directors approved a $100 million buyback program for its native token NEXO.
According to the press release, the massive $100M buyback program authorizes Nexo to repurchase its native NEXO Token on the open market at its discretion periodically.
The buyback procedure is expected to be finished within 6 months, following which the Nexo Board of Directors may decide to conduct another buyback program.
The tokens repurchased to be utilized to invest in strategic targets via token mergers with suitable vesting schemes.
Few of the repurchased tokens will help to pay daily interest to customers who prefer to receive their yields in NEXO Tokens.
Repurchased NEXO Tokens will be set in an Investor Protection Reserve (IPR) at the ERC-20 address 0x1C433CBF4777aaa8cDC76B499.
Following the repurchase, each of the buyback tranches is to be vested for at least a year. After the period expires, the NEXO tokens will be available for token mergers, daily interest payouts, and other developments.
Nexo co-founder, Antoni Trenchev, stated “As Nexo’s market share increases and the industry matures, we will continue to seek acquisitions and token mergers to cement our leadership position in the crypto lending ecosystem.”
This buyback is in line with Nexo’s intention to boost the liquidity and value of the NEXO Token.
The program also supports Nexo’s efforts to improve institutional access to the cryptocurrency ecosystem by investing in dependable blockchain infrastructure.
This program is the core component of Nexonomics 3.0. It ia Nexo’s tokenomics project to improve the usefulness and value of the NEXO Token. Tokenomics has assisted Nexo’s ecosystem in attracting a large number of new members.
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